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Old 01-27-2012, 08:45 AM
 
Location: Keosauqua, Iowa
9,200 posts, read 17,058,364 times
Reputation: 12393

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Quote:
Originally Posted by rrtechno View Post
And therein lies the problem. Selling the item has a greater profit margin than servicing the item. Why do you think the big box stores don't have service departments?
This isn't really true. There's very little margin in selling serviceable items such as lawn mowers and appliances at discount prices. If you can sell one of these items cash and carry you might gross 15-20%; if the customer wants it delivered, installed, and the old one hauled off you're lucky to break even.

The Big Boxes sell these items primarily to position themselves as a "one stop shop" and so that they can pick up the sale on the accessories, which typically are sold at high margins. The good money is in service and parts sales; that's why today there are so many individuals and companies who service appliances but don't sell them.

For a Big Box to have a service department they would either have to make their stores larger (more overhead) or reduce retail space on the floor which would mean carrying fewer high-margin items.
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Old 01-27-2012, 01:25 PM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
23,509 posts, read 41,105,188 times
Reputation: 25093
In general...BigBox only stock items with large volume of sales. Their margins are low, their costs (including staff) are minimal. They tend to 'subcontract' their service. #1, because it is not their expertise (certainly not 'relationship building - people skills'... #2 logistically it would be their worst nightmare, #3 they could not carry unsold merchandise (parts) in their inventory.

Hiring of HS kids... BigBox has corporate HR (personnel) in a central location, they have NO one under age 18 policies.

I am grateful for the many LOCAL small business employers I had BEFORE age 18. They took significant risk and burden training & trusting me and I made plenty of mistakes. BUT by the time I was 18 I was skilled and working for well over 2x minimum wage.
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Old 01-27-2012, 03:34 PM
 
Location: South Park, San Diego
5,110 posts, read 7,833,463 times
Reputation: 9625
Quote:
Originally Posted by rrtechno View Post
We came across this info in one of the local restaurants.

The 3/50 Project ::: Home
I love this concept- we have it well entrenched in our sweet neighborhood of independent only stores.

While I don't live in a small town or rural area, I grew up in a very small town (3000 people, the county seat in a large country, all other "towns" nearby were mere hamlets) that, while still charming and beautiful, its economy and vitality has been effectively destroyed by Big Box invasion. I'm not going to be stupid and say that is the only component of the struggling downtown but it certainly is a major one.

I can't see how you can say that you have really any loyalty or connection to your small community and actively support the introduction of or frequent shopping to Big Box stores. The ironic thing that escapes the blind masses who swear by the Walmart waddle is that having a vibrant community of locally owned stores increases property values, tax bases and job creation far more long term than a Big Box store that sucks all those resources away from your community. I have never heard of a community achieving higher property values when the Walmart went in.

The few extra dollars I might spend by trying to shop as locally as I can in my own community is far outweighed by the stable and increasing housing values it maintains by having a walkable, vibrant village-like atmosphere to live in.
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Old 01-27-2012, 04:04 PM
Status: "I can see 2020 from my porch" (set 10 days ago)
 
Location: Eureka CA
8,706 posts, read 11,470,833 times
Reputation: 13400
Ten years ago our community voted NOT to rezone for Walmart. They bided their time, waited until a couple of stores in the local mall folded and are sneaking in because they don't have to rezone. Most people I know will not be shopping there.
Our friends in Eugene, north of here, were successful in keeping Whole Foods out. Now, THAT's my kind of town!
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Old 01-27-2012, 04:57 PM
 
Location: Rivendell
1,387 posts, read 2,189,431 times
Reputation: 1650
Quote:
Originally Posted by eureka1 View Post
Ten years ago our community voted NOT to rezone for Walmart. They bided their time, waited until a couple of stores in the local mall folded and are sneaking in because they don't have to rezone. Most people I know will not be shopping there.
Our friends in Eugene, north of here, were successful in keeping Whole Foods out. Now, THAT's my kind of town!
I have mixed feelings on that. If the Bayshore Mall has so much vacant space that a Walmart will fit, can this be all bad? An empty Gottschalks employs no one.

On the other hand, One of the things I like best about Eureka is lack of most chain stores.It is very charming and has lots of character. If I want a choice of every chain store known to mankind I will go to Redding.
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Old 01-27-2012, 07:21 PM
 
Location: Cody, WY
9,789 posts, read 11,276,228 times
Reputation: 19777
Quote:
Originally Posted by StealthRabbit View Post
(try to get a part for your 30 yr old wash machine... or ANY wash machine for that matter)
That's a big city business. If you ever live in a small town and need your washing machine repaired the parts won't come from the hardware store.

Quote:
Originally Posted by StealthRabbit View Post
Do NOT try to get a part for your 50 yr old tractor at big box...
Or anywhere else.

Quote:
Originally Posted by StealthRabbit View Post
(or ask their tire dept to fix your flat tractor tire).
You need to visit a farm town. Farrmers don't drive their tractors to tire dealers in town.

Quote:
Originally Posted by StealthRabbit View Post
(How many HS kids do you see working at Big BOX?)
Plenty



Quote:
Originally Posted by StealthRabbit View Post
Big Box is suffering BIG TIME. cycle is about exhausted, A HEALTHY community will thrive in the future, one destroyed by an alien BigBox will languish.
Visit a small town.

Quote:
Originally Posted by StealthRabbit View Post
Hiring of HS kids... BigBox has corporate HR (personnel) in a central location, they have NO one under age 18 policies.
That's nonsense.

Quote:
Originally Posted by StealthRabbit View Post
BUT by the time I was 18 I was skilled and working for well over 2x minimum wage.
That was better than you're doing now.
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Old 01-27-2012, 07:56 PM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
23,509 posts, read 41,105,188 times
Reputation: 25093
Quote:
Originally Posted by Happy in Wyoming View Post
...That was better than you're doing now.
I voluntarily left the workforce at age 49, and recently took an evening job w/ medical due to a sick spouse. (I currently get a bit over 6x minimum wage in WY, but only 3x minimum wage in PNW) U.S. Department of Labor - Wage and Hour Division (WHD) - Minimum Wage Laws in the States (http://www.dol.gov/whd/minwage/america.htm - broken link)
nothing to brag about, as it is still 1/2 of my previous salary. Wages is of minimal benefit to me, as I had my 'plan' long before age 49. (commercial realestate remodel and leasing) Typical go into a small town, buy and fix up a building, then sell it to the tenants as their business income allows. (Small town businesse get both cheap price and low rents till they get established.) Kinda like the HS kid in MN that had the city lend him the money to buy and stock the local grocery that had been abandoned. (He has since bought a few more in neighboring towns).

There are no kids working BigBox in my neck of the woods, liability / corporate policy does not allow.

Point of tractor parts and tires, is... Bigbox has eroded the sales of small town tire dealers and Hardware stores, and they USED to be there for parts and tire service (Car, Truck, or Tractor). Many of the parts to keep my 50 yr old tractors and equip running is stocked or available to modify from a full service Hardware (few and far between NOW). I have never been down too long, b'cuz I have a metro area close enough I can still find a few unique places open for business. I know of several Coast-to-Coast, Gambles, True Value, Western Auto places that have shut down after generations of community benefit and support. (BigBox requires local folks to solicit Corporate for community support). I know of many small town business owners who have lost everything, including their health. I am not so much of a capitalist to understand the benefit of that.

You can be assured if I was living in Cody, I would be doing my shopping @ 'The Merc'... That is my kind of store.
EDITORIAL: Merc model makes impact miles away
Rural Co-Ops: Saving Shopping Options : NPR
Light a store, save a town - Jul. 17, 2008


Enjoy WY, I did for many yrs. and still frequent several x / yr.
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Old 01-27-2012, 08:28 PM
 
Location: Cody, WY
9,789 posts, read 11,276,228 times
Reputation: 19777
Quote:
Originally Posted by StealthRabbit View Post
There are no kids working BigBox in my neck of the woods, liability / corporate policy does not allow.
Walmart has a large number of high school students. I see them everytime I shop there. Some of them never leave because Walmart will pay their tuition up to an MBA. I do talk to them.

Quote:
Originally Posted by StealthRabbit View Post
Point of tractor parts and tires, is... Bigbox has eroded the sales of You can be assured if I was living in Cody, I would be doing my shopping @ 'The Merc'... That is my kind of store.
EDITORIAL: Merc model makes impact miles away
Rural Co-Ops: Saving Shopping Options : NPR
Light a store, save a town - Jul. 17, 2008


Enjoy WY, I did for many yrs. and still frequent several x / yr.
I wonder why people from Powell drive forty miles to Walmart if "The Merc" is so great.

You fantasize what you want small town life to be. It's not what you read in Mother Earth News.
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Old 01-27-2012, 09:17 PM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
23,509 posts, read 41,105,188 times
Reputation: 25093
Quote:
Originally Posted by Happy in Wyoming View Post
I wonder why people from Powell drive forty miles to Walmart if "The Merc" is so great.
They are CHEAP and don't want to support their local businesses and don't mind fueling the Chinese economy (yes, I have lived and worked in China too...)

Quote:
Originally Posted by Happy in Wyoming View Post
You fantasize what you want small town life to be. It's not what you read in Mother Earth News.
Not me...no fantasizing here... I'm actually CREATING what I and thousand of others desire in a small town.

You are free to live and shop where you like, after all, you may have come from California or Mars or somewhere similar...

BTW, I have never picked up a Mother Earth News, whatever that is... Must have been after my time. (Been doing the 'sustainable' thing since the 1960s, and came from prairie pioneer family who had done it long before ME.)

Enjoy, WY... EVEN CODY
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Old 01-30-2012, 01:52 AM
 
Location: Mayacama Mtns in CA
14,523 posts, read 7,680,391 times
Reputation: 11317
Question Question, please

For all those who have commented in this thread, when you say "Big Box Store" are you including grocery stores in the category?
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